Troubling Student Loan Data

According to a Wall Street Journal report, the Department of Education had a coding error that has now been fixed. As part of this error, it is now revealed that only 46% of student loans are current. The rest are in some form of forbearance or default (including payment plan adjustment based in income).

This is a 20% drop from prior to this discovery.

And a troubling sign for our economy, since these debts cannot be discharged in bankruptcy.